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>> welcome to newsday on the bbc. the headlines. as the phone hacking crisis escalates, rupert murdoch and his son james prepared to face questions from a u.k. parliamentary committee. gaddafi must go. u.s. officials deliver an uncompromising message to their libyan counterparts in a secret meeting. the eurozone debt crisis worsens. fears for the major banks cause a stock market slump. u.s. secretary of state hillary clinton builds bridges on a two- day trip to india. it is 11:00 a.m. in singapore. >> it is 4:00 a.m. in london, broadcasting in america and around the world. this is "newsday."

the owner of britain's biggest media empire, rupert murdoch, is to make his first appearance before a committee of british members of parliament on tuesday to face questioning about the phone hacking scandal at the "news of the world." his son james will also give evidence, and will the former boss, rebekah brooks. the scandal has already forced two a senior police officers to resign. >> he is ben yates of the are no longer, resigning just a day after his boss, sir paul stevenson. both paying the price for failing to get to grips with the hacking scandal. so said the mayor of london. >> i regret to say i have just come off the phone john yates,

who tendered his resignation. >> boras johnson said both men had jumped and were not pushed. but he made it clear he had done everything he could to encourage them. >> it is a concatenation of issues and questions. it is going to make it very difficult for them to continue to do their jobs in the way they wanted. >> yates began the day determined not to resign, telling colleagues he would not submit to trial by media. he ended it explaining why he was going. >> we in the police service are truly accountable. those of us to take on the most difficult jobs clearly have to stand up and be counted when things go wrong. sadly, there continues to be a huge amount of inaccurate, ill informed, and on occasion downright malicious gossip being published about me personally.

this has the potential to be a significant distraction from my current role as the national league for counter-terrorism. >> this is the man whose arrest caused a crisis at the met. his hiring was to help improve their public relations. it emerged his daughter works for the metropolitan police and yates is alleged to have helped her get the job. when sir paul stevenson went to downing street last week to discuss how to restore the matt's image, he made no reference of the course pep relationship with neil wallace. it was that which cost him and yates their careers. what divides the prime minister and the man from the met is also what connects them. both hired former "news of the world" meant to help their image.

all insist that they knew nothing about hacking. the prime minister is on an awkwardly timed trip to south africa to make another statement on hacking, postponing mp holidays by a day. the labor leader said he is incapable of giving the leadership it desired. >> the prime minister is unable to show that leadership because of the decision he made to hire and the -- andy coulson in the first place, and to answer questions about bringing him to the heart of downing street, and his inexplicable failure to apologize for this terrible error of judgment. >> speaking before the news of yates' resignation, david cameron said there was no comparison between his behavior

and that of the metropolitan police. >> i do not believe the situations are the same in any shape or form. in terms of andy coulson, no one has argued the work he did in government in any way was inappropriate or bad. he worked well in government. he then left government. there is a contrast in the situation where clearly at the metropolitan police the issues have been around, whether or not the investigation is being pursued properly. >> tonight, the phone hacking inquiry is making more headlines. police officers are at the home of the reporter, who was now found dead tonight, after telling folks to he had been pressured to hack phones. his death is being described as unexplained, but not suspicious. nick robinson, bbc news, westminster. >> the sun newspaper has

suffered major attacks by computer hackers. anyone trying to access the web site was redirected to the speed of -- feed of lulzsec. they posted claims that rupert murdoch had been found dead. it has emerged that officials in the american state department and the libyan government held a meeting in tunisia. americans say they delivered a certain message that colonel gaddafi must step down. more details about the meeting. >> from the american side, the u.s. ambassador to libya until this crisis blew up in february, together with a senior

state department official from the region -- they were the representatives of the united states. we do not know who was at the meeting from the libyan side. we do not know who called the meeting. we do have a rundown from state department officials in washington. they say a clear, firm, and unambiguous message was delivered to the libyans from the americans. that message, they say, was that the only way forward in libya, the only way out of the libyan situation, was for colonel gaddafi to step down. that is the message to the americans took. >> that is the washington side of things. do you have any implications of how libya is seeing this? >> the libyan government spokesperson has been talking quite warmly about the meeting, saying it was a positive first step on the road to repairing relations between the countries. the americans beg to differ. they said this was a one off meeting for one purpose, to say

gaddafi has to step down. one thing i think is interesting from the u.s. side is that are talking about colonel gaddafi stepping down but are not publicly insisting he leaves the country. they are clearly trying to look for a way out for everybody. colonel gaddafi is now wanted by the international criminal court. so if and when he were to leave power he'll presumably would want to stay in libya. in public messages to his people, he insists he is not going anywhere. >> fears over the health of the banking industry as stock markets have been falling here. >> that is right. the banking industry as well as the european debt crisis -- eurozone leaders are due to meet later this week to consider a second bailout loan for greece. but they are struggling to agree how to do it. it comes as the american treasury secretary, timothy geithner, urged europe to act

more forcefully to solve their debt crisis. >> the caller says it all. world markets in the red. investors worried about europe's debt crisis. the contagion spread from greece to ireland and portugal. now investors are worried that bigger economies like italy and spain might be next. the mood in the lawn was downbeat. >> in the end, it is us ordinary citizens that put the bill. >> we cannot do anything about it. we have no control over the situation. >> across the atlantic, the closing bell brought more bad news. u.s. markets also down, partly on worries about the euro. much depends on them. europe's leaders are due to meet later this week to discuss problems in the eurozone. this crisis will not pass quickly. if the continent's leaders cannot agree on a solution, it is likely to get much worse.

>> the south china sea is an area with potentially rich reserves of oil and gas. it also has some of the busiest shipping lanes in the world. it is no surprise that china, the philippines, and asia all have conflicting territorial claims. there is a meeting in bali to see if they we can be found to resolve this dispute. i asked how confident the work that there could be agreement on the code of conduct in the south china sea. >> there is an urgency in southeast asia and china that we will have to send a positive signal to the world that china and asia can manage effectively the differences between some of our member states and china.

>> while china has agreed with vietnam to try to reach a meaningful solution to these issues, it has been very consistent in its belief that these areas belong to it. how do you plan to persuade all parties to agree to a code of conduct when these issues have not been settled? >> in the final analysis, the claimants will have to settle the differences between themselves. our member states -- the philippines, vietnam, and galatia have complained about some part of the south china sea. we are offering what we call a forum, a process, an opportunity also rides -- for all sides to come to an agreement that they will come back to relating

peacefully, and that the world will not have to worry. all of our member states have some interest in the equal conduct over the south china sea. agreeing adds to the stability and security of all the ships going through. the best way for us is to come to some form of agreement. that is what we are working on. >> you are watching "newsday." live from singapore and london, still to come. the u.n. caused controversy by withholding aid from one of the poorest places on earth. as rupert and james murdock prepared to answer questions about phone hacking corruption at the u.k. parliament, we assess the future of news corp.

south africans have celebrated former president nelson mandela picked 93rd birthday. the anti-apartheid leader spent the day with family in his home village, where he was also visited by the president. millions of children in some him a special birthday song earlier today. >> smiling and surrounded by family members, these photos show mandiba, as he is affectionately called, on the eve of his birthday with three generations of his family. the elderly statesman and anti- apartheid i concelebrated on monday with a party of school children at his home in his childhood village. >> happy birthday to you. >> across the country, schoolchildren sang a special version of the birthday song. two years ago, nelson mandela

fifth birthday was declared mandela day, -- nelson mandela's birthday was declared mandela day, devoted to public servants. they and volunteered to plant wheat in the village. others worked in the local communities. one minute for every year of nelson mandela's political service. the former president has not been seen in public since he fell ill earlier this year. mr. mandela has been receiving medical care at home since being hospitalized suffering from respiratory disease. while the quietly celebrated at home, school children continued to sing in assemblies across the country in the hope of setting a new world record for the number of people singing to one individual at the same time. >> happy birthday. >> bbc news, johannesburg.

>> this is "a new state." . as the phone hacking crisis escalates, rupert murdoch and his son james prepare to face questions from the u.k. parliamentary committee. europe's officials have met representatives from the libyan government at a secret location to demand colonel gaddafi step down. hillary clinton is on a two day trip to india. it is her second visit to delhi as u.s. secretary of state. she hopes to strengthen the political and economic relationship between india and the united states. i am joined by the director of strategic studies at the center for strategic research. why is the u.s. relationship with india so important?

>> it is important for both countries. india is a large and growing economy. for india, there is a natural convergence of interest in several areas. in the last decade, this relationship has been radically transformed. this dialogue represents the deepening of this relationship in different dimensions. >> in the wake of the bomb attack in mumbai last week, cooperation in counter-terrorism efforts is expected to figure high on the agenda. how might this influence the cooperation between india and the u.s. on fighting terror? >> counter-terrorism is a very important issue, the dialogue and relationship between the u.s. and india. there is a common threat from islamic terrorists. there is a lot for the countries

to discuss, especially since the events that have fallen -- followed the killing of osama bin laden in pakistan and the more recent mumbai attacks that have again refocused indian attention on terrorism. but terrorism is an issue which is not exactly an issue of full convergence between the u.s. and india. there are differences between the countries. when hillary clinton discusses this issue with her indian counterpart, there will certainly be differences that will need to be sorted out. >> very briefly, tell us how america's approach to india changed with the rise of china. this is something you've written about. >> china is an important factor, but not one that is publicly discussed. but it is a subtext in the u.s.- india relationship. china becomes more and more

assertive as it picks territorial fights with india and its other neighbors, and also begins to exert its influence in the south china sea, claiming the south china sea to be part of its historical borders and thereby infringing on u.s. interests in that seat. there is great room for u.s. and indian collaboration in insuring peace, stability, and more in asia. >> we will leave it there. in other news, the un's highest court ordered thailand and cambodia to withdraw troops from a disputed border region. cambodia asked the international court for a ruling about the area around the 900-year-old temple. both thailand and cambodia lay claim to land surrounding the unesco world heritage site. an american general has taken

over as commander of international forces in afghanistan, succeeding david petraeus, who is to be the new head of the cia. general allan said he was under no illusion about the challenges in afghanistan. spanish police say they have broken up a major concern that was laundering money from drug trafficking. they dug up some of the money from under the floor of a madrid mansion. it took them 16 hours of searching. when the cash was counted, it totaled 23 million euros. we have been reporting a lot on rupert murdoch and his son james preparing to take questions from the u.k. parliamentary committee. >> it is what everybody's eyes will be on later on today, tuesday. early on, i spoke to a member of the democracy institute. he was talking to me about the cross-examination the murdoch's will face.

>> i can see a surprise we can look forward to. the murdoch's well in the comparative cents be somewhat forthright, comparatively in cycle, more than we would have expected, because their attempts to say as little as possible in recent days and weeks have obviously failed miserably. i think they will belatedly see the sense in being more forthcoming. and there will be forthright compared with rebecca brooks -- compared with rebekah brooks, if she does show up. because of the legal cloud over her head, it will be harder for her to be as candid as she may have been otherwise. and it will be difficult for the mps interrogating her to ask some questions they might have because no one wants to wreck a criminal investigation.

>> families of some who died on 9/11 are seeking a meeting with the fbi to investigate claims they may have been becomes a phone hacking. the allegations are causing real concern. >> some of the family members i have talked to are extremely disturbed and troubled by what they are reading. they lived for 10 years with the issue of 9/11. now on the eve of the 10th anniversary to find out that maybe their loved ones or their rights have been violated is very disturbing. we need to as quickly as possible find out whether or not this allegation is accurate or not. that is very important to my clients. >> as international appeals continue for the victims of east africa, charities are monitoring a controversial experiment in nearby you gone up. the un has been restricting food

handouts to people in one impoverished region to try to make them less dependent on a. but an increasing number of families in the area are complaining of severe shortages. some are even sending children as young as three to the capital to beg. our correspondent reports. >> tiny hands outstretched. a child begs for money on a busy street. he is 3 years old. he is not the only one. their families know they are here. their job is to send money back home. guided by a charity helping the children, i extended -- i discovered he was being looked after by a 13-year-old girl. i took the name of the village and headed off to find their families.

it is in one of the poorest places in the world. it is also the focus of a u.n. experiment to try to and people's reliance on aid. in january, i found children so hungry they were having to eat raw goat. this time, we found the village. more children are being sent to beg because of the shortage of food. none try to hide that their children are begging in kampala. >> , the children from this village are down in kampala -- how many children from this village are down in kampala? about 60 she said, just from this village. do you have any other children

here? she will go to kampala to? >> what do you gone and authorities say? -- ugandan authorities say? >> there are people who lure these children. >> some children do get help. these, now in school, were rescued by a small church charity. now 10, he begged for five years. >> at night, they would beat me and still my money. i feel safe now. >> a handful save of the many thousands suffering ill treatment every day. the u.n. says this experiment is one of tough choices. it is now drawing up a plan to stop this.

bbc news, kampala. >> let us take a look at these pictures of the astronauts who are on nasa's final shuttle voyage, leaving the international space station for the last time. atlantis is set to undock early on tuesday, providing as the last glimpse of a space shuttle in flight before the program is retired. touching images. for atlantis crew members joined the iss team for a farewell ceremony before it departed. a total of 10 astronauts aboard the atlantis and iss space station, jointly combined. the end of an era for that shuttle. >> and the end of "news de." -- "newsday." >> rupert murdoch and his son

will face the u.k. parliamentary committee later today. thanks for watching. see you soon. >> make sense of international news at bbc.com/news. >> funding was made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newman's own foundation. and union bank. >> union bank has put its global

financial strength to work for a wide range of companies. what can we do for you? >> "bbc world news" was presented by kcet los angeles.